Analysing rugby game attendance at selected smaller unions in South Africa

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Analysing rugby game attendance at selected

smaller unions in South Africa

by

PAUL HEYNS

12527521

B.Com (Hons), NGOS

Mini-dissertation submitted in partial fulfilment of the requirements

for the degree Master of Business Administration at the

Potchefstroom Business School of the North-West University

Supervisor: Prof. R.A. Lotriet

November 2012

Potchefstroom

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ABSTRACT

Rugby union is being viewed and played by millions of people across the world. It is one of the fastest growing sport codes internationally and with more countries emerging and playing international and national games, the supporter attendance is crucial to the game.

The rugby industry is mostly formal, with an international body controlling the sport globally and a governing body in each country to regulate the sport in terms of rules and regulations. These bodies must adhere to the international body’s vision and mission to grow the sport and to steer it in the correct direction.

This study focuses on rugby game attendance of selected smaller unions in South Africa. Valuable information was gathered describing the socio-economic profile and various preferences and habits of supporters attending rugby games. This information forms the basis for future studies to honour the people that support their unions when playing rugby nationally or internationally.

The research was conducted through interviews with influential administrators within the rugby environment and questionnaires that were distributed among supporters that attended a Leopard and Puma game. The main conclusions during the study were the failure to attract supporters to the Leopards and the Pumas local matches. The supporters list various reasons for poor supporter attendances namely:

 a lack of marketing,  no entertainment,

 the quality of the teams that are competing, and  the time-slots in which the matches take place.

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A general and mutual concern among stakeholders for the future is the sustainability of supporters attending games of the smaller unions. The apparent lack of funding from the South African Rugby Union and supporters disinterest in their local union were singled out as serious shortcomings in protecting the interests of the stakeholders. All stakeholders need to engage on a national level strategy for developing structures and communication to promote and grow the potential of rugby not only in the cities, but in the entire South Africa.

List of key terms: supporter attendance, supporter, industry stakeholders,

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OPSOMMING

Rugby word gespeel en ondersteun deur miljoene mense regoor die wêreld. Dit is een van die vinnigste groeiende sportsoorte internasionaal en met meer opkomende lande wat nasionale en internasionale wedstryde speel, is die ondersteunerbywoning noodsaaklik vir die voortbestaan van die spel.

Die rugbyindustrie is meestal formeel, met 'n internasionale liggaam wat die die sport wêreldwyd beheer en het nasionaal 'n oorhoofse liggaam wat die sport in terme van die reëls en regulasies reguleer. Hierdie liggame moet voldoen aan die internasionale liggaam se visie en missie om die sport te laat ontwikkel en dit in die regte rigting te stuur.

Hierdie studie fokus op wedstrydbywoning van geselekteerde kleiner unies in Suid-Afrika. Waardevolle inligting is ingesamel wat die sosio-ekonomiese profiel, verskillende voorkeure en gewoontes van ondersteuners beskryf wat hulle laat besluit om rugbywedstryde by te woon. Hierdie inligting vorm die grondslag vir toekomstige studies tot eer van die mense wat hul unies ondersteun wanneer nasionale of internasionale wedstryde gespeel word.

Navorsing het geskied deur middel van onderhoude met verskeie rolspelers binne die rugby-omgewing en vraelyste wat aan ondersteuners verprei is tydens ‘n Luiperd- en Puma- wedstryd. Die hoofbevindinge van die studie was die mislukking om ondersteuners by die Luiperds- en Pumas- wedstryde te betrek. Die ondersteuners het verskeie redes aangevoer vir swak wedstrydbywoning:

 ‘n tekort aan bemarking  geen vermaak,

 die kwaliteit van die spanne wat kompeteer,

 en die tydsgleuf wanneer die wedstryde plaasvind.

'n Algemene en wedersydse kommer onder belanghebbendes vir die toekoms is die volhoubaarheid van ondersteuners wat die kleiner unies se wedstryde

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bywoon. Die skynbare gebrek aan befondsing van die Suid-Afrikaanse Rugby Unie en ondersteuners se swak belangstelling in hulle plaaslike unie is uitgesonder as ernstige tekortkominge in die beskerming van die belange van rolspelers. Alle rolspelers word benodig om betrokke te raak op 'n nasionale stragegiese vlak vir die ontwikkeling van strukture en om kommunikasie te bevorder, asook groei van rugby as sport. Dit moet nie net in die stede realiseer nie, maar wel in die hele Suid-Afrika.

Lys van sleutelterme: ondersteunerbywoning, industrierolspelers, rugby

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ACKNOWLEDGEMENTS

My sincere thanks, gratitude and appreciation are due to the following persons who by their presence and assistance contributed to this study:

 I am grateful for my Lord and Saviour, Jesus Christ, who gave me strength, insight and provided me with the opportunity to pursue this journey.

 I wish to thank my parents for believing in me and providing me with the education needed to guide me through life and to complete this study. It has been a tough three years.

 To Professor Ronnie Lotriet, my study leader, thank you for the assistance, support and patience through the course. I really appreciate your guidance.

 To my fiancé, Shannon and little Sienna, thank you for understanding my situation when we started our relationship. It was difficult circumstances and by finishing this and you still by my side, I can’t thank you enough for your support and love.

 I wish to thank my group members for their hard work and attitude during the studies. Times were indeed tough, but we pulled through and accomplished our goals. Keep on smiling and remember the good times.

 My lecturers, without exception you created an interest in your subjects, enriched our experiences and served us enthusiastically.  To my close friends and family, thank you for understanding, support

and assistance during this study. A special word to Liana Kilian for all her support en needed help.

 Erika Fourie, thank you for the expert assistance and direction with the statistics.

 Antoinette Bischoff, my language editor. Thank you for assisting me when time was minimal and the pressure was upon me. Your work is extremely professional of an enormously high standard.

 Each individual I encountered while writing the mini-dissertation. I value your contributions.

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LIST OF FIGURES

Figure 2.1: Sport and Recreation in South Africa 11

Figure 2.2: Sport and Recreation South Africa focus areas 12

Figure 2.3: SARU organogram 15

Figure 2.4: Operations and finance division 15

Figure 2.5: High performance team division 16

Figure 2.6: Development division 17

Figure 2.7: Corporate affairs structure 17

Figure 2.8: Commercial marketing structure 18

Figure 2.9: Management structure of Leopards’ union 21

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LIST OF TABLES

Table 2.1: Leopards game attendance figures 2010 22

Table 2.2: Leopards game attendance figures 2011 23

Table 2.3: Pumas game attendance figures 2010 26

Table 2.4: Pumas game attendance figures 2011 27

Table 3.1: Schedule of data collection 42

Table 3.2: Ethnicity of respondents 45

Table 3.3: Respondents’ preference of accompanying 50

party to rugby games

Table 3.4: Factors influencing decision to arrive earlier at the 51

stadium

Table 3.5: Arrival time prior to kick-off 52

Table 3.6: Stakeholder involvement 52

Table 3.7: Best suited times for Leopard games 53

Table 3.8: True and loyal supporters 53

Table 3.9: Why respondents attend the Leopard games 54

Table 3.10: Marketing methods to promote Leopard games 55

Table 3.11: Why rugby is preferred as a sporting code 55

Table 3.12: Other activities if not attending rugby games 56

Table 3.13: Activities influencing decision not to attend 56

rugby games

Table 3.14: Rugby websites visited 57

Table 3.15: Ethnicity of respondents 59

Table 3.16: Respondents’ preference of accompanying 63

party to rugby games

Table 3.17: Factors influencing decision to arrive earlier at the 64

stadium

Table 3.18: Arrival time prior to kick-off 65

Table 3.19: Stakeholder involvement 65

Table 3.20: Best suited times for Puma games 66

Table 3.21: True and loyal supporters 66

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Table 3.23: Marketing methods to promote Puma games 68

Table 3.24: Why rugby is preferred as a sporting code 68

Table 3.25: Other activities if not attending rugby games 69

Table 3.26: Activities influencing decision not to attend 69

rugby games

Table 3.27: Rugby websites visited 70

Table 3.28: Cross-tabulations between supporter and 72

attending games

Table 3.29: Cross-tabulations between towns of 74

residence and marketing of Pumas in those towns

Table 3.30: Cross-tabulations between gender and rugby 75

websites visited

Table 3.31: Cross-tabulations between supporters 75

and stakeholders who attend Pumas rugby games alone

Table 3.32: Cross-tabulations between supporters and 76

stakeholders who attend Pumas rugby games with friends

Table 3.33: Cross-tabulations between supporters and 77

stakeholders who attend Puma rugby games with corporate clients

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LIST OF GRAPHS

Graph 3.1: Chart of gender of respondents 45

Graph 3.2: Chart of town of residence 47

Graph 3.3: Bar chart of attendance of Leopard games 50

Graph 3.4: Chart of gender of respondents 58

Graph 3.5: Chart of town of residence 60

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LIST OF TERMS

 Supporter attendance

Supporters may choose to attend games, because they believe that the experience will enhance their utility, subject to their budget and constraints. Most supporters prefer a close contest, with their team winning in the end.

 Supporter

A supporter is someone who is a supporter of a certain team.

 Dimensions for game attendance

The major principles of sporting tournaments recognise two key dimensions of performance, namely consumer demand for sport and the quality of the sports product.

 Business of sport

Globally, in professional sports, the individuals or bodies that are in possession of miscellaneous sports enterprises have been dominant in determining the direction of sports businesses. Factors that encourage investors to advance professional sport are public attendances, profits, awareness, community impact and winning.

 Industry stakeholders

International Rugby Board, SANZAR, SARU, SRSA, Leopards rugby union, Pumas rugby union.

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LIST OF ABBREVIATIONS

ABSA Affiliated Bank of South Africa IRB International Rugby Board

SANZAR South Africa, New Zealand, Australia, Argentina SRSA Department of Sport and Recreation South Africa SARU South Africa Rugby Union

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CHAPTER 1 NATURE AND SCOPE OF STUDY

1.1 INTRODUCTION

Rugby union is regarded as one of the three main sports in South Africa – alongside soccer and cricket. Whether someone is merely a supporter or a participating member, rugby is a serious topic in South Africa. It has always been about competition and power. Beneficial for muscle support and healthy competition and especially – with all the different unions in South Africa – every participating member wants to represent their favourite union and later their country at international level from an early age. In reality, no union or professional player can achieve what they do if it is not for the support of the spectators. The focus of the spectator, who attends rugby games, is significant in this study.

The national rugby team of South Africa, the Springboks, is a source of pride and power. Competing against the best they provide the South African public simultaneously with powerful enthusiasm and discontent. The South African public its most important critics and they have high expectations for the team – to win every game when competing at home or abroad.

Sport unites a country and when South Africa won the 1995 Rugby World Cup in their first appearance as a democratic state, it had a powerful positive influence on the young “New South Africa” and its tentative public. President Nelson Mandela presented the winning trophy, donned in a number six Springbok jersey, to captain Francois Pienaar. This, together with the success of the successful hosting of the 2010 Soccer World Cup, is one of the most memorable moments in the history of South African sport (Carlin, 2012:32). Rugby is played on different levels in South Africa. The division of the levels are as follows: primary school level, secondary school level, club level, provincial level and international level. Currently there are 14 unions within the South African rugby structure. The teams, in alphabetical order, are: The Blue

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Bulls, Boland Cavaliers, Border Bulldogs, South Western Districts Eagles, Free State Cheetahs, Golden Lions, Griffons, Griquas, Leopards, Eastern Province Kings, Natal Sharks, Pumas, Valke and Western Province (Carlin, 2012:36).

The test and “Super 15” unions as in 2012 are the Bulls, Free State Cheetahs, Golden Lions, Natal Sharks and Western Province Stormers. In 2013 the South African Rugby Union decided that the Southern Kings will participate in the Super 15 competition to the expense of the Lions. The other nine unions compete on a less competitive level, but many of the players that represent the smaller unions acquire the opportunity to show their aptitude to the superior unions. It has happened in the past, on numerous occasions, that players from the smaller unions are afforded the opportunity to represent the advanced unions and even became Springboks at a later stage in their career.

Externally South African rugby, as portrayed by rugby magazines, television and rugby exhibitions, has been transformed over number of years with increases in marketing efforts and exposure for the five major unions. Supporters can see their heroes in the comfort of their own homes because they do not have to drive to a stadium anymore and it has just become too expensive to see the game at the stadium.

The smaller unions’ supporters still have to attend the rugby games because of limited marketing budgets and restricted televised games. The question remains that to what extent can these smaller unions utilise their limited resources to attract more supporters to their games again.

1.2 PROBLEM STATEMENT

Rugby in South Africa can be seen as an occupation for professional players or a recreational activity for fans and supporters (Black & Nauright, 1998:2). The greatest challenges facing smaller unions are access to restricted resources to attract more supporters to their games.

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According to a communication by Hare (2012) awareness is created by these selected unions to attract crowds to their home games. Technology and support behaviour are some of the causes to problems. The union budgets do not allow for large expenditure on marketing and awareness in regional and provincial areas. Unions’ sources of funds normally consist of sponsorships, gate tickets sold, season tickets sold and entertainment boxes rented on a yearly rate (Andreff, 2011:14).

The development of younger players is crucial in South African rugby. The smaller unions are currently seen as the “development agents” of young players for the bigger (dominant) unions. The smaller unions have then minimal opportunity to produce an improved team to increase their chances to win more games. The top players in these teams are quick to be head hunted by the bigger unions.

1.3 OBJECTIVES OF THE STUDY

1.3.1 Primary objective

The primary objective of this study is the analysis of rugby game attendances of selected smaller unions in South Africa. The researcher attempted to determine why the union supporters do not attend the home matches of their unions and attempted to obtain the occupancy rate and to establish the determinants for game attendances. The study also presents a profile to the industry, describing the behaviour of rugby fans and supporters in respect of the supporters’ decision to attend these rugby games or not. The results of the study could not be extrapolated to represent a national profile of smaller unions.

1.3.2 Secondary objectives

The secondary objectives of the study were to:

 identify the rugby supporter profile and preferences through questionnaires to determine the decision to attend a game or not,

 determine the unions’ input to attract the crowds,

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 provide recommendations on how to improve the current structure of smaller unions.

1.4 SCOPE OF THE STUDY

The study aims to determine the reasons behind the supporters’ decisions to attend or not to attend the smaller unions’ rugby games. The specific unions chosen are situated in the northern region of South Africa. The study will be limited geographically to the Leopards and the Pumas rugby unions.

1.5 RESEARCH METHODOLOGY

1.5.1 Literature study

A qualitative literature study is done in Chapter 2 and it is aimed at an investigation on public attendances during rugby games at selected rugby unions. Sources of information consist of the internet, questionnaires, magazines, e-mail correspondences and interviews with experts in the rugby industry.

1.5.2 Empirical investigation

1.5.2.1 Questionnaire

Empirical findings are being stated during the studies. Questionnaires are completed by a sample to assist the empirical study. The sample consisted of the supporters, management and administrators that reside in those specific regions of the unions. Hard copy questionnaires were distributed randomly to supporters at a Leopard and Puma game. Electronic questionnaires were also sent via email to various coaches and managers in the Leopards and Pumas region.

Convenience sampling is the most suitable to the study because participants were selected based on their geographical locations and their accessibility. (Welman et al., 2005:70). The questionnaires were completed by the participants and statistics were implemented to process the data.

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1.5.2.2 Interviews

Non-structured interviews with knowledgeable people in the industry were conducted to acquire specific information from them. These people have extensive experience within the smaller rugby union environment and the information obtained from the interviews were of utmost importance. Constructive interviews with the Chief Executive Officers of the Leopards, Pumas and Valke rugby unions were held. An interview with Mr. James Stoffberg, the Vice President of SARU, was undertaken. All these interviews guided the researcher through the research process and assisted in the acquisition of additional and relevant information.

1.6 LIMITATIONS OF THE STUDY

A study of this nature is especially complicated. Therefore research, references and sources were difficult to obtain. The geographic restriction also causes a limitation in the approach of the study.

Time and budget constraints are dominant role-players. It was difficult to obtain the necessary responses from the different areas because the public and the schools will have to be approached during business hours.

Unfortunately, the Chief Executive Officer of the Valke rugby union, failed to respond after the personal interview on 26 July 2012. Therefore, the Valke rugby union was excluded from the study. The Chief Executive Officer of the Griffons, declined a personal interview and regrettably the Griffons rugby union was therefore also excluded from this study.

During the study, at various questions, numerous respondents declined to answer the questions, which made it truly difficult to determine the real value of those specific questions.

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1.7 LAYOUT OF THE STUDY

Chapter 1 - Nature and scope of the study:

This chapter serves as an introduction to the study. The background of the study is explained in this chapter, the problem statement formulated, research objectives listed and the limitations postulated.

Chapter 2 - Game attendances at smaller rugby unions in South Africa

This chapter contains a qualitative literature study obtained from the internet, questionnaires, magazines, e-mail correspondences and interviews with experts in the rugby industry on the structure of rugby from the international body (IRB), the governing body of rugby in the southern hemisphere (SANZAR), the South African Rugby Union (SARU) and the Department of Sport and Recreation (SRSA), which is the national government division responsible for sport in South Africa. The Leopards and Pumas rugby unions will be discussed.

The two unions’ games attendances over the preceding two years, data collection methods and characteristics were discussed. A sustainable, development analysis was completed. Current and official offerings were investigated and whether it satisfied and endowed the supporters with these offers.

Lastly, a literature study regarding supporter attendance, business of sport, dimensions of game attendance and key success factors for game attendance will be discussed.

Chapter 3 - Empirical Investigation:

This chapter was a presentation of the findings from the empirical study regarding the questionnaires and the interviews. The results were processed and interpreted into feedback.

Chapter 4 - Conclusion and recommendations:

This is the final chapter in which conclusions are reached and recommendations are given. The success of the study was evaluated.

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1.8 SUMMARY

Supporters of smaller rugby unions do not attend the unions’ home games anymore. There has been a significant decline in the attendance by the public, which leads to various problems for the unions to deal with. The researcher explains in Chapter the background of the study, the problem, the scope of the study, the value of the study and the limitations of the study.

In the next chapter, namely Chapter 2, a literature review is provided on the different organisations that manage the sport globally and nationally, different competitions in South Africa and the unions that the study was based on. Further literature is discussed on the topic of sport as a business, dimensions of game attendances and the key success factors of game attendances.

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CHAPTER 2 GAME ATTENDANCES AT SMALLER RUGBY UNIONS IN

SOUTH AFRICA

2.1 INTRODUCTION

In chapter one the nature and scope of the study is described. In this chapter selected aspects of international and South African rugby markets are introduced to set the context within which the study has been done. This forms the basis for interpreting the empirical study in the next chapter.

In this chapter the study investigates the supporters that attend the games of the unions and, dimensions and key success factors of game attendance. This study specifically focuses on factors such as gate fees, television coverage and branding apparel that are factors contributing to stakeholders not attending rugby games and how the unions are struggling to attract supporters for their local games.

The research concentrates on supporter attendance in South Africa. This study starts from an international governing perspective, explaining the international body (IRB) which controls the game globally. A study regarding the body that controls rugby in the Southern Hemisphere (SANZAR) will also be discussed.

This study describes the body which regulates rugby in South Africa (SARU), in conjunction with the Department of Sport and Recreation (SRSA). Lastly, the research focuses on the Leopards and the Pumas rugby unions where the research has been done.

The Leopards and the Pumas rugby unions are two smaller unions under the current SARU structure. In total there are 14 unions under SARU’s management and control. The Leopards and Pumas compete annually in the Currie Cup and the Vodacom Cup competitions, organised by SARU.

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2.2 THE INTERNATIONAL RUGBY BOARD (IRB)

The International Rugby Board (IRB) was established in 1886. Its headquarters is situated in Dublin, Ireland. The IRB is the global legislative and governing body for Rugby Union (Hoye & Cuskully, 2012:12).

Li et al, (2011:112) state that men, women, boys and girls, in more than 100 countries across six continents, participate in rugby. The IRB membership currently totals 97 international unions in full membership.

According to Hoye and Cuskully (2012:13), the IRB has several main functions. This includes:

 Governance of the Laws and Regulations and its implementation;  Competition owner and managers of international competitions such

as the Rugby World Cup and the IRB World Sevens competition;  Global game improvement through member unions’ backing via

donations and strategic investment programmes;

 Delivery of education and development programmes; and  Game promotion internationally.

The business of the IRB is performed by over 50 professional employees (Hoye & Cuskully, 2012:13). The majority of them are based in Dublin. Personnel being employed internationally include regional general managers, high performance managers and regional development managers that are operating on six different continents. It is Europe, Asia, Africa, North America, South America and Oceania. South Africa falls under the African region.

2.3 SANZAR

SANZAR (South Africa, New Zealand and Australian Rugby) is an organisation which was formed in 1996 under the IRB which coerces the Super Rugby and The Rugby Championship competitions in the southern hemisphere (Howitt, 2005:4). It is a combined venture of the South African Rugby Union, the New Zealand Rugby Union and the Australian Rugby

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Union. Argentina officially joined the Rugby Championship in a convention in Buenos Aires on 23 November 2011.

Howitt (2005:5) says that when rugby unions in the southern hemisphere went professional in 1996, the Australia, New Zealand and South African national rugby boards formed an annual 12-team provincial competition pitting local teams from the three nations against each other. SANZAR administered this competition, named the Super 12.

It has also been decided to hold an annual Tri-Nations Series between the three countries resulting in an annual contest in which the All Blacks, Springboks and Wallabies are combined to give the southern hemisphere an elite intercontinental championship outside the Rugby World Cup. The aim of this contest is to determine which team reigns supreme and to attract more supporters to test games (Weed, 2007:362).

Rian Oberholzer from South Africa was the first chief operating officer of SANZAR. Until 2010 the responsibility of chief operating officer of SANZAR passed between the relevant bodies of the NZRU, ARU and SARU (Collins & Trenberth, 2005:25). The chairman and chief executive officer previously operated on a secretariat basis rotating on a bi-annual term. Now only the chair rotates. In 2004 SANZAR established a permanent office which led to the appointment of Greg Peters, which he still holds today, as the first purposely nominated chief executive officer of the governing body (Collins & Trenberth, 2005:27).

The first broadcasting transaction was negotiated with News Corp for US$ 555 million (Collins & Trenberth, 2005:28). This enabled SANZAR to excel into professionalism and proved to be an important source of income for the three affiliated unions.

In 2012 SANZAR prepared to unveil a new product, the Rugby Championship. This competition extended to include Argentina ending the 16 years of Tri-Nations competition. This tournament expanded to include four teams, hailing

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a return to the home-and-away clash between each nation (Nauright & Parrish, 2012:248).

2.4 DEPARTMENT OF SPORT AND RECREATION

The Department of Sport and Recreation in South Africa (SRSA) is the national governmental division responsible for sport in South Africa and SARU is regulated by the SRSA. SARU is the national organisation that manages rugby in South Africa and it must report and adhere to the SRSA rules and regulations. Supported with its vision of developing “An Active and Winning Nation” its main focus, is to supply opportunities to enable all South Africans to participate in sport controlling the regulatory framework thereof and providing financial support for different categories of sport (Nicholson & Hoye, 2012:13).

The SRSA explains the terms “sport” and “recreation” by means of figure 2.1:

Figure 2.1: Sport and Recreation in South Africa

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Nicholson and Hoye (2012:14) indicate that in its attempts to produce a lively and winning nation, the SRSA not only designates the centre focus of present activities, but also articulates positive commitment to continue with whatever measures necessary to have a noteworthy and positive impact on the whole South African nation. The aim is obviously one of nationwide impact with the suggestion that, regardless of the delivery of sport and recreation at three different levels of government, all of the activities and programmes within SRSA's mandate shall be optimally incorporated and coordinated for maximum impact. It is believed that SRSA will accomplish this goal and make a difference in South Africa.

In figure 2.2 SRSA focuses on the following strategic areas to assist with broadening the base of sport and recreation in South Africa to create a winning nation. Functional systems must be put in place by the SRSA, talent should be identified and developed from a young age and operational support programmes must be motivated and implemented. This will lead to participation at domestic competitions and eventually global exposure at international competitions.

Figure 2.2: Sport and Recreation South Africa focus areas

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2.5 THE SOUTH AFRICAN RUGBY UNION (SARU)

The South African Rugby Union (SARU) and the game of rugby has been the focus of change in the South African sports scene over the past decade, and executive structures, approaches and strategies in SARU has constantly been changing to adhere with challenges and changes on the pitch (Louw & Louw, 2010:34).

According to Nauright (2010:63) SARU is committed to a democratic South Africa, continuously emphasising the importance of the sport and the country’s national teams by supporting patriotism and inspiring national pride amongst all South Africans. Rugby is also one sport in which South African teams compete with compassion and determination to achieve success.

Louw and Louw (2010:184) state that SARU is currently the umbrella brand for:

 The national team (Springboks);

 The Vodacom Super Rugby Tournament,;  The Absa Currie Cup;

 The Vodacom Cup;  The SA Under 20 team;

 The Springbok Sevens team; and  The Springbok Women’s team.

SARU believes that constant development within big and small unions are essential to the short and long-term future of the sport in South Africa. For rugby to be a national sport it must appeal to a significant percentage of the South African population. SARU has prepared a growth policy which covers both participants and supporters. A number of activities are already in progress to meet these goals and objectives (Stoffberg, 2009).

SARU’s growth strategy consists of the development and implimentation of programmes to generate sustainable rugby clubs. In addition, education and training programmes are in place to build and progress the talents of referees,

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coaches and administrators. A pioneering junior and youth rugby strategy has also been accepted to guarantee the continuous growth of rugby at primary and secondary school level.

Humpreys and Howard (2008:67) predicts that with a market share of approximately ten million people in South Africa following rugby, SARU aims to develop the trademark in a style that will motivate more sponsorships, which translates into increased turnover. With extra wealth to grow the sport, SARU can enlarge its appeal amongst potential young players and develop more junior and senior victorious teams.

The product at the end of the day is rugby – the game, its participants on the field and on the pavilion, the development of potential players and the preservation of the outstanding teams SARU already has in its stable. Four key imperatives emphasise SARU’s values. It is based on the requirements of all SARU’s stakeholders and are mutually supporting. Success is only possible if these four imperatives are equally realised (Saru, 2011:13),

 Transformation;  Growth;

 Winning attitude; and

 Financial sustainability.

Figures 2.3 – Figure 2.10 indicate the different business groups and structures within SARU as organisation. These business groups and structures explain how SARU is managed and operates on a daily basis to cover all aspects within the organisation.

The SARU executive management team as seen in figure 2.3 is responsible for the organisation’s systems of internal control. It is designed to provide reasonable, but not absolute assurance as to the reliability of the financial statements; to adequately safeguard, verify and maintain accountability of its assets and to prevent and detect misstatement and loss.

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Figure 2.3: SARU organogram

(Source: SARU, 2011)

One of the main objectives shown in figure 2.4 of the operational restructuring of SARU is to establish the operations and finance division. It has finance, legal (non-commercial) and asset care as its component departments and responsibility for the information technology and travel arrangements. Since all 14 unions falls under the SARU umbrella, financial funds gets divided to each individual union, which must comply to the operational and legal rules and regulations of SARU.

Figure 2.4: Operations and finance division

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Figure 2.5 shows the high performance division which includes the growth and development, providing specialist attention to skills, strength and conditioning, education, nutrition, life skills and rehabilitation. Whilst the team aims for consistency on the playing field, significant progress is made off the field. This is achieved through implemented management programs, growing the SARU brand, coaching and developing coaches and players and continual professional development.

Figure 2.5: High performance team division

(Source: SARU, 2011)

In 1998 a strategic funding model has been introduced and was well accepted by all provincial unions of the South African Rugby Union (SARU). This strategy has been conceived to facilitate the alignment of activities within provinces with strategic objectives defined by SARU for its short and long-term goals. SARU will investigate the possibility of regional developmental structures as indicated in figure 2.6 to ensure effective developmental and transformation targets are achieved. Both the Leopards and the Pumas have seen little of this strategic funding model and developmental programs as these unions are managed at own cost (Hare, 2012).

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Figure 2.6: Development division

The department’s responsibility for SARU’s reputation has been emphasised by a restructuring process during the last decade. A turning point in the approach to corporate social investment for the organisation has also been emphasised. The corporate affairs policy has historically been centred on an annual donation to the Chris Burger/Petro Jackson Players’ Fund, which continues to perform excellent work in the community. The department in figure 2.7, continues to service the daily requirements of internal and external stakeholders through a variety of channels.

Figure 2.7: Corporate affairs structure

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Annually, numerous contracts with existing commercial partners are being reviewed for renewal and a number of new sponsors join SARU. The timing of the expiry of the majority of SARU’s major sponsorships demands an extensive renewal process. During this time the organisation, as shown in figure 2.8, are exposed to significant financial risk in the event that renewals are not achieved at the desired levels. It is an optimistic indicator of the strength of SARU’s brands and teams as well as indicating the benefit for commercial partners to be associated with SARU and Springbok rugby. Within the competition structure, unions such as the Leopards and Pumas Rugby Unions participate in the Vodacom Cup and the Currie Cup where there are a financial benefit for both unions from SARU.

Figure 2.8: Commercial marketing structure

2.5.1 ANNUAL SARU COMPETITIONS

Each year SARU in conjunction with its major sponsors, ABSA and Vodacom, presents the ABSA Currie Cup and the Vodacom Cup. These two competitions are historic to South African rugby and are renowned to develop talent for the future.

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2.5.1.1 ABSA Currie Cup Competition

The Currie Cup competition (currently known as the ABSA Currie Cup) is the leading national rugby competition in South Africa and is contested every winter from June to October. It features teams representing their unions within the Premier Division or the First Division (Odendaal, 2003:75). The Premier Division consists of the six top unions in South Africa and the bottom eight unions compete in the First Division. Since 2011 the Leopards and the Pumas was demoted from the Premier Division and are currently competing in the First Division.

According to Odendaal (2003:78) the competition is rich in history and tradition. The Currie Cup dates back to 1889 and is the oldest provincial rugby tournament in the world. The competition is regarded as the foundation of South Africa's rugby heritage and the coveted gold cup remains the most prestigious accolade in South African rugby on a national level.

2.5.1.2 Vodacom Cup Competition

The Vodacom Cup is a rugby tournament which forms an integral part of rugby development in South Africa. It is here where less known players of smaller unions have the opportunity to expose their talents for further career development at bigger unions. The competitions commenced in 1998. Numerous South African international players started their careers at this level in order to be discovered for greater glory. This provides a significant developmental footprint for South African rugby (Eaton & Alfred, 2005:124).

Vodacom has been the main sponsor for this competition since the inaugural season (Cant & Van Heerden, 2011:346). All 14 unions within South Africa compete in the Vodacom Cup and two international teams have also participated in the tournament. The Namibian Welwitschias competed in the competition from 1999 up to 2001 and then again in 2010 and 2011, while the Pampas XV from Argentina have been participating in the competition since 2010.

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2.6 PROVINCIAL RUGBY UNIONS

A provincial rugby union is defined as an affiliated union which is registered under that specific country’s constitution where rugby players represent these unions in various competitions (Raney & Bryant, 2006:153).

The research furthermore concentrates on the Leopards rugby union and the Pumas rugby union. These two unions, each with a rich game playing history, are based in the northern part of South Africa and are regulated by SARU’s constitution.

2.6.1 LEOPARDS RUGBY UNION

Formerly known as “Western Transvaal”, the Leopards rugby union is a historical union and is situated in Potchefstroom. Founded in 1920, the Leopards celebrated their 90-year anniversary in 2010.

The Leopards home stadium is called Olën Park. The stadium is named after the late union president, Carl Ludwig Theodor Olën, who was appointed in this position from 1922 until 1934 (Gerber-Nel, 2009:18). With the North-West University and the Potchefstroom Campus located in close proximity from each other, the Puk Rugby Institute delivers numerous provincial Leopard players on various levels.

The Leopards were the first black-owned rugby union in South Africa when the company, Royal Bafokeng Sports Holdings, started sponsoring the union in October 2007 (Du Plessis, 2012). This business relationship ended in 2011 after both parties agreed that it would be in the best interest of the Leopards if they are based in Potchefstroom instead of Rustenburg.

Figure 2.9 demonstrates the current management structures at the Leopards rugby union.

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Figure 2.9: Management structure of Leopards’ union

In table 2.1 and table 2.2 the Leopards game attendances for 2010 and 2011are presented. Every game played locally during the year is given below and discussed in detail. Unfortunately only two years’ game attendance figures have been provided by both unions.

Table 2.1 indicates the three most attended games during 2010 when the Leopards hosted the three main unions: The Blue Bulls, Western Province and the Natal Sharks. Some 14 144 supporters attended these three games, which is 65.6% of the total attendance for the 2010 season. This is a clear indication that the supporters in Potchefstroom prefer that the “bigger names” in South African rugby compete at Olën Park.

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Table 2.1: Leopards game attendance figures 2010

Leopards game attendance figures 2010

333 24 189 167 577 4113 604 2278 843 3357 2042 882 0 15 92 52 400 1441 310 1134 158 1821 570 139 0 1000 2000 3000 4000 5000 6000

Tickets Sold Computicket Suite Tickets

Suite Tickets 0 0 0 0 0 0 0 0 0 0 0 0

Computicket 0 15 92 52 400 1441 310 1134 158 1821 570 139

Tickets Sold 333 24 189 167 577 4113 604 2278 843 3357 2042 882

Namibia Valke Griffons Pumas Lions Western

Province Griquas Sharks Pumas Blue Bulls Cheetah s SWD Eagles (Source: SARU, 2011)

A total of 21 541 supporters attended 12 games during the season. This resulted in an average of 1 965 supporters per game.

During the 2011 Leopards season a total of 26 941 supporters attended 15 games at Olën Park. This resulted in an average of 1 796 supporters per game. It is a decline of 169 supporters per game. Although these games have been played at Olën Park, the Leopards did not compete in it. It was the local games of the Argentinean Pampas. The three games that attracted the most supporters were when the Leopards hosted the Lions, Western Province and Cheetahs. Some 12 950 supporters attended these three games (48% of the total attendances for 2011).

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Table 2.2: Leopards game attendance figures 2011

Leopards game attendance figures 2011

702 696 427 545 0 1060 331 1660 3607 1251 2952 3262 3546 1017 1901 161 163 47 65 0 68 72 429 1154 158 173 609 772 19 94 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 500 1000 1500 2000 2500 3000 3500 4000 4500 5000

Suite Tickets 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Computicket 161 163 47 65 0 68 72 429 1154 158 173 609 772 19 94 Tickets Sold 702 696 427 545 0 1060 331 1660 3607 1251 2952 3262 3546 1017 1901 EP Kings Pampas vs Blue Bulls

Pampas Boland Pampas vs Valke WP Pampas vs Cheetah Blue Bulls WP Pumas Blue Bulls Cheetah

s Lions Griquas Sharks

These statistics, for 2010 and 2011 for the Leopards’ local games states a 32.9% increase in tickets being sold at the stadium during 2011. This totals to 7 548 more tickets sold than the year before.

Although many supporters have access to internet facilities there has been a decline of 35% in tickets sold through Computicket amounting to 2148 tickets from the 2010 to the 2011 season. Supporters prefer to buy their tickets directly at the gates. No suite tickets were sold during the two seasons because Olën Park does not have suites available to the public.

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More than a thousand supporters attended the games only when the five advanced unions (the Blue Bulls, Western Province, the Sharks, the Cheetahs and the Lions) competed against the Leopards in Potchefstroom. Overall there has been an increase when 5 400 tickets were sold in 2011, which is a 20% increase from 2010. The reason for this increase is the Leopards’ participation in the 2011 Currie Cup season in the Premier Division against the strongest teams. Compared to the latter the 2010 Currie Cup was a mixture of games between all 14 unions.

2.6.2 PUMAS RUGBY UNION

Founded in 1969 as South Eastern Transvaal, the Pumas are known as a team that plays physical and ambitious rugby. Since its name change in 1997, this union is perceived as a relatively young team in South African Rugby. The Pumas home base is situated in Witbank, but management decided in 2011 that it would be best for the union to relocate to Nelspruit. Here the Pumas compete in local games and in the newly built Mbombela Stadium since 2012. Puma players are recruited from all over South Africa and young players from various universities and different unions use the Pumas platform to be recognised by the greater South African unions. The Pumas won the Currie Cup First Division in 2005 and 2009, respectively, and has been rewarded to compete in the Currie Cup Premier Division the following years. Most of the Pumas supporter base is situated in the Mpumalanga province. This includes towns such as Witbank, Nelspruit, Middelburg, Ermelo and Lydenburg (Alegi & Bolsmann, 2010:94).

In figure 2.10, the management structures of the Pumas rugby union are revealed. It is very similar to the Leopards rugby union, since both are smaller unions in the northern parts of South Africa.

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Figure 2.10: Management structure of Pumas’ union

Table 2.3 and table 2.4 provide the attendance of Pumas supporters during the 2010 and 2011 season. Most of the 2010 games were played at the Pumas Stadium in Witbank, and the 2011 fixtures were played in the new Mbombela Stadium situated in Nelspruit. Nelspruit has a greater capacity in respect of infrastructure for fans than Witbank, and the Mbombela Stadium is equipped with world-class facilities because it was built to accommodate the 2010 Soccer World Cup.

During the 2010 Pumas season 70 926 supporters attended 15 Pumas games and one test between South Africa and Italy. If the Italy test and the Kenya versus Puma match are not calculated, 56 882supporters attended the games which resulted in an average of 3 792 supporters per game. Only the Blue Bulls and Western Province games were played at Mbombela Stadium and attracted 34 209 supporters (which is 60% of the total attendances for the 2010 season).

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Table 2.3: Pumas game attendance figures 2010

Pumas game attendance figures 2010

152 209 313 235 376 2033 1885 12741 724 538 841 20122 2026 10553 180 329 115 335 280 352 916 450 ₃₅₀ 778 478 749 478 1465 875 1019 870 809 525 525 525 525 525 0 0 525 525 525 525 525 525 525 525 525 0 2500 5000 7500 10000 12500 15000 17500 20000 22500

Suite Tickets 525 525 525 525 525 0 0 525 525 525 525 525 525 525 525 525 Computicket 115 335 280 352 916 450 350 778 478 749 478 1465 875 1019 870 809 Tickets Sold 152 209 313 235 376 2033 1885 12741 724 538 841 20122 2026 10553 180 329

Valke Super 14

Lions Leopards Valke Griffons Namibia Lions Kenya &

Italy Test Leopards Free State Lions Blue Bulls Sharks Western

Province Griquas EP Kings

This was the first year that the Mbombela Stadium hosted rugby games and it illustrates the public’s desire, in that region, to attend the Pumas’ games. Table 2.4 explains that during 2011 there has been a significant decrease of 40% in tickets sold at the games. Of the Puma’s games in 2010, 12 games were played at the Pumas Stadium and two games at Mbombela Stadium. The two games at Mbombela Stadium also attracted the most supporters per game for that season.

At Mbombela Stadium in Nelspruit, seven Pumas games were played in 2011 and four games at the Pumas Stadium. Mbombela Stadium is a world-class facility which hosted four games during the 2010 Soccer World Cup.

Although Mbombela Stadium offers more suite options, which is world-class quality, less suite tickets were sold in 2011 – only 6 350. This is a decrease of

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more than 600%. Suite tickets will increase radically once the Pumas are permanently based in Nelspruit.

Supporters using the internet bought 46.5% more tickets online during 2011. This is an indication that the Pumas union made an effort to make tickets available online at Computicket, which enabled supporters to purchase tickets in the comfort of their homes, via the internet.

Comparing the two years, 18 468 less tickets were sold, but only 12 games were played in 2011; compared to the 16 games played in 2010. This is a loss of 26% when it is compared to the number of tickets sold for the season. No union can afford such decreases and more games must be booked in the future at Nelspruit.

Table 2.4: Pumas game attendance figures 2011

Pumas game attendance figures 2011

8289 2300 58 225 1505 4846 1162 5366 2398 4326 683 787 1963 800 858 600 1938 2160 1187 2934 1400 2830 1343 1300 150 0 42 ₄₇ 150 130 120 180 56 150 130 45 0 1500 3000 4500 6000 7500 9000 10500 12000

Ti ckets Sold Computicket Sui te Tickets

Sui te Tickets 150 0 42 47 150 130 120 180 56 150 130 45

Computicket 1963 800 858 600 1938 2160 1187 2934 1400 2830 1343 1300 Tickets Sol d 8289 2300 58 225 1505 4846 1162 5366 2398 4326 683 787

Bl ue

Bul ls Free State Border

Bul ldogs Pampas Sharks Sharks Griquas Blue Bul ls

Western

Province Li ons Leopards Cheetahs

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The Pumas 2011 season consisted of only 12 games and the union did not host any tests. Taken into consideration that in 2010 more games were played as well as a test in Witbank, the attendance for the 2011 season still accumulated to 52458 supporters which results to an average of 4 372 supporters per game.

The Lions, Sharks and two Blue Bulls games at Mbombela Stadium attracted 33 324 supporters. This is 63.5% of all attendances during the season. Nelspruit supporters crave competitive rugby and for this reason the Pumas has decided to play all their games for the 2012 season at Mbombela Stadium.

The union has decided that it will be based in Nelspruit on a permanent basis in order to accommodate the players, management and stakeholders.

2.7 SUPPORTERS THAT ATTEND GAMES 2.7.1 Supporters

A supporter is someone who is a supporter of a certain team (Shehu, 2010:43). The activities that an individual exhibits are typically seen by others as strange or eccentric but “does not violate prevailing social norms” (Thorne & Bruner, 2006:52). Such supporters may be obsessive and follow a team in terms of game performances. Examples are: by researching games in respect of games won or lost and by attending games which are poorly attended, by engaging in activities such as purchasing memorabilia of the team like jerseys and caps. Such supporters are renowned in literature from a dysfunctional supporter whereby the latter is described as anti-social, disruptive or deviant and are more likely to be verbally aggressive towards officials or other supporters (Wakefield & Wann, 2006:168).

Bender and Steele (2007:16) define a supporter as “an enthusiastic person of some particular sport consumption object”. Park (2007:13) explains that the main appeals amongst supporters for watching a sport event is the distinctive nature of athletic competitiveness. Like many competitive sport events including rugby, the final outcome of the game is unknown prior to the

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commencement of the event. Park (2007:16) made a distinction between supporters and spectators, noting that spectators in its strictest sense are those who merely watch and observe, while supporters are the “enthusiastic devotees of a given diversion”.

Loyal supporters sustain their team even though their team did not win games recently, while undecided supporters support the team when successful, but will withdraw their support when the team starts losing. True supporters possess a high emotional attachment to a team that is enduring. They make major financial investment and time commitments (Trail et al., 2003:10).

While it is important to cultivate a broad supporter base, it is equally important to create a level of supporter loyalty whereby they contribute consistently and intensively to the union’s revenue system. One union might have a large supporter catchment (for instance it has a large surrounding population, or possess a strong brand image which attracts people from everywhere). Many of their supporters may be only marginally attached to the union and attends games. These supporters become members only when the team performs, or if the weather is favourable (Stewart, 2012:163).

2.7.2 Supporter attendance

Supporters may choose to attend games, because they believe that the experience will enhance their utility, subject to their budget and constraints. Most supporters prefer a close contest, with their team winning in the end (Free, 2010:537). The basis for this study is based on an existing community character theory, in order to examine variables of supporter attachment that manipulate supporter presence. An overview of this theory is a useful point of departure in understanding the most important factors that influence supporter attendances.

Record revenues, high salaries and fierce competition make the rugby marketplace uncertain and dependable. Supporter attendances become fragmented and moves into uncharted territory (Irwin et al., 2008:293). Stewart (2012:196) explains that stadium age is negatively correlated with

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supporter attendance; however, the pattern of causation is not very clear. Supporters may prefer new stadiums and arenas, but it is also true that high supporter attendances do generate more revenue because of the winning record and culture. Bigger cities have an advantage of greater supporter attendances.

Supporters tend to dissociate themselves from an unsuccessful team. After a team loses, supporters will be less likely to wear the team colours, attend events or ostensibly support the team. The prevailing wisdom about superstar players is that they promote attendances through winning locally, which ensures sold out games at every other stadium because supporters want to see them in action (Free, 2010:537).

Wheaton (2004:27) established that a social identity perspective is a useful approach to study the many different types of consumption people routinely participate in. In addition, it suggests that society is important to the self because the individual is part of a cluster of the population groups that are formed on the basis of common identities. Individuals are more likely to be influenced by perceived expectations of other group members and act in ways that reinforce their membership to the group (Wheaton, 2004:34).

Therefore, while the self can be conceptualised as independent, a person possesses a moderately overlapping self. In a person’s sense of connectedness to a cause, event or a sport team, support is reminiscent of the notion of the “imagery self” (Crawford, 2004:33). This perception suggests that individuals form emotional accessories to physical belongings, places, people and groups.

Acting in ways that promote a group’s best interest is based on one’s own social identity rather than personal identity (Weed, 2007:69). It may therefore be found that individuals may play a distinct role and when these roles are personalised they become identities. As social beings, supporters have a desire to be with others and behave as members of groups through the

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socialisation process (McDonald et al., 2002:103). They affiliate and maintain association or relations with others in the group.

In this way they confirm their sense of identity with others who enjoy the same activity. Studies have shown peer and family relations in the sport setting, such as friendship, peer acceptance, family presence and social interactions motivates an attachment to a sport, such as rugby. Social identity theory is therefore utilised to obtain a better understanding of how and why individuals select certain identity related activities, given all the possible alternatives. In addition, the social identity theory suggests that these types of choices can be explained by identity salience (Nicholson & Hoye, 2012:48).

Studies of supporter attendances at various sporting events are in essence designed to identify those factors that affect attendances. Subunits that can utilise this information to maintain or increase attendances can reduce uncertainty and thus are able to increase their own power within the organisation (Slack & Parent, 2005:202).

Identity salience is influenced positively by feelings related to identity. Leading identities are those identities that are an important part of which people are and supporters display it routinely. These identities are socially derived and require self-expression and positive feelings affirming the identity (Jarvie, 2006:31). As supporter identity becomes more salient, specific supporter activities may be acted out more frequently, for example, attending games, watching games on television or following the scores in the newspaper. On the other hand, negative evaluations would shape unsuitable identity performances. In this instance individuals are likely to take steps to improve their performance or abandon their identity.

By cooperating with each other, unions and supporters can increase their supporter base and supporter attendances at games. Strategies outline the direction and the activities of the organisation for the short-term and long-term future. Principles on how to ensure that supporter attendances increase must

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be some of the most important strategies for unions, especially smaller unions.

2.8 DIMENSIONS OF GAME ATTENDANCES

Fort and Fizel (2004:306) explain that the major principles of sport tournaments recognise two key dimensions of performance, namely:

1) Consumer demand for sports; and 2) The quality of the sports product.

In this segment the focus will be on performance indicators for competitions associated with these dimensions: game attendance and the competitive balance of sporting competitions. Literature on game attendance maintains a link between the uncertainty of the outcome and competitive balance - all the variables the professional leagues models’ use can enter at the back door. Economic testing provides a positive and significant relationship between the uncertainty of the outcome of the game attendances (Andreff, 2011:135). According to Milne and McDonald (1999:129) personality gaming techniques increase existing practices for sponsorships. Brand perspectives evaluate sport on dimensions, which proves to have high relevance for brands.

From the perspective of individuals or bodies attendance requirements for games, raises several interesting and challenging issues. Many sport teams’ games are regularly sold out at their stadiums, leaving the demand unsatisfied (Andreff and Szymański, 2006:82). This leads to the establishment of a market for unofficial tickets. Buyers and suppliers of tickets are brought together and if there is an excess demand for tickets, the price should increase.

Andreff and Szymański (2006:85) say that the demand for spectator attendances should depend on several economic and other determinants. This includes:

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 Real income of spectators,  Prices of game tickets,

 Market size and local population,

 Importance of the contest in terms of outcome,  Closeness of competition,

 Season tickets  Scheduling of games.

2.9 BUSINESS OF SPORT

Globally, in professional sports, the individuals or bodies that are in the possession of miscellaneous sports enterprises are dominant in determining the direction of sports businesses. Factors that encourage investors to advance professional sport are public attendances, profits, awareness, community impact and winning.

Unlike businesses in other industries, professional sports teams in a given competition both compete against and cooperate with one another. The success of a competition is affected by the degree of uncertainty of outcome of its contests, and the balance amongst the teams (Rosner & Shropshire, 2011:13).

Professional sports tournaments also differ from other industries in the degree of the public exposure they generate. Game results are reported comprehensively in local newspapers and are discussed widely and passionately by thousands of fans. Investment returns on the various sport competitions are implemented in different ways. One aspect of return is the fun, advantages, power and ego gratification that the individuals or bodies receive. Therefore the investment into sport business is for profit maximising and a great reward return on investment.

The potential for sporting organisations such as the Leopards and the Pumas is to produce momentous revenue may well be defined by their capability to construct communities that are eager for their merchandise, in turn attracting

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passionate sponsors. Sport business observers may be pondering why all sports with large memberships are not actively pursuing this strategy. Sports’ natural “membership” base seems to be the key to unlocking substantial competitive advantages in the sport business environment (Westerbeek & Smith, 2003:169).

Sport has changed from a leisure activity to a business as a result of the commercialisation procedure. Sport managers, businesses and unions have become more aware and concerned about business principles. This procedure influenced sports organisations to become business orientated, market related and to pursue functional strategies to maximise profit and revenue (Robinson, 2008:2).

Robinson (2008:3) explains a major aspect of commercialisation is the strategic operations of sport that has increased. Sport unions’ main goal is to generate maximum revenue and profit which include important decision making and strategy development for the union. As a result, expenses on player salaries have increased significantly since sport is perceived as a profession. Sources of income have to be generated through television rights and sponsorships, sport betting and other means, to cover expenditures. Business approaches have been adapted annually by unions to optimise opportunities. With the assistance of the supporters and businesses in the area, SARU’s direction, backing and involvement, the Leopards and the Pumas have the prospect to turn their problems into solutions which can lead to feasibility and sustainability, but most important profitability.

2.10 KEY SUCCESS FACTORS OF GAME ATTENDANCE

In the competition between various unions hosting rugby games, a distinction is made between the successful and less successful unions. To determine whether games have been successfully attended, it is essential to determine criteria that can be used to calculate the success of the game.

Success normally refers to the business result that is measured and reflected in monetary units. Besides economic success factors, non-economic success factors also play an important role. These economic indicators cannot be

Analysing rugby game attendance at selected smaller unions in South Africa